Posted 7/10/2019 06:51 (#7606439 - in reply to #7606222) Subject: RE: Who has an abnormally good basis?
Was talking to our local coop location manager yesterday about this very thing, he’s been in the business awhile, and has made quite a few business contacts over the mid to western corn belt over the years.
His take is that the 2+billion bushel carryover number that everybody was working with is about a billion bu. too high, (ya I know, big shock to you cats that have been riding the usda conspiracy train). His thought is that the bushels were there but that the gov. Has been underestimating feed use in this country, and to smaller extent exports to Mexico and Canada.
For example of the interior top four tiers of counties in Iowa and the bottom three or four tiers of counties in mid to western minnesota are actually corn neutral or deficit. A few ethanol plants here and there, but a whole bunch more feedmills, both for hogs and layer barns.
A local coop down the rail abit has sent several 50 car trains of corn up into northwest Iowa already.